just need the montly payment for the used car Janet has also found a used car of the same make and model that is 2 years old and has beendriven 38,547 kilometers. The price of the used vehicle is $14,950. Additional costs include$85 administration fee$74 licence plate fee$20 gas fee● $54 finance fee●●The interest rate on the loan for the new car is 4.9% compounded monthly. The interest rate onthe loan for the used car is 9.9% compounded monthly. In each case, the car will be financed for36 months. MSRP or List PriceDiscountPurchase PriceFreightTire/Air TaxGas TaxAdministration FeeTaxable SubtotalTrade-in AllowanceTaxable TotalHST (13%)Licence Plate FeeDeal Review (Used car)Gas FeeLien PayoutDelivery PriceMFG RebateDown PaymentFinance FeeAmount Financed85Interest Rate15,035Loan Term015,035Monthly PaymentL954-55 Interest Due (at_Balance Due1414.950O14,9500004%)20O17 083.65Oо5417,137.559.9%36 months

According to the time value of money theory, money that is available now is worth more than the same…

MSRP or List Price Discount Purchase Price Freight Tire/Air Tax Gas Tax Administration Fee Taxable Subtotal Trade-in Allowance Taxable Total HST (13%) Licence Plate Fee Deal Review (Used car) Gas Fee 14.950 Lien Payout Delivery Price MFG Rebate Down Payment Finance Fee Amount Financed Interest Rate Loan Term Monthly Payment Interest Due (at Balance Due 14,950 0 0 0 85 15035 0 15,035 954-55 14 %) 17 08 3.65 D 54 17,137.55 9.9% 36 months

MSRP or List Price Discount Purchase Price Freight Tire/Air Tax Gas Tax Administration Fee Taxable Subtotal Trade-in Allowance Taxable Total HST (13%) Licence Plate Fee Deal Review (Used car) Gas Fee 14.950 Lien Payout Delivery Price MFG Rebate Down Payment Finance Fee Amount Financed Interest Rate Loan Term Monthly Payment Interest Due (at Balance Due 14,950 0 0 0 85 15035 0 15,035 954-55 14 %) 17 08 3.65 D 54 17,137.55 9.9% 36 months

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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